Budget 2026: Revival of 200 legacy clusters on the anvil

A scheme to revive 200 legacy industrial clusters will help improve their cost competitiveness and efficiency through infrastructure and technology upgradation, the government said. A new scheme for for plug-and-play industrial parks has received an allocation of ₹3,000 crore.

"This means improved infrastructure and regulatory support that will revive the under utilised assets," said an official. India has attempted to build industrial clusters through various schemes over the past few decades, from the 1997 Industrial Park Scheme,2005 SEZ Act and the National Industrial Corridor Development Programme besides sector-specific clusters for electronics, textiles, and software.

The budget has also announced a Textile Expansion and Employment Scheme to modernise traditional clusters with capital support for machinery, technology upgradation and common testing and certification centres.